0:03
hi I'm Dan Olson and we had another
0:05
great speaker at lean product meet up
0:07
tonight Marty Kagan he's right back
0:08
there product expert and author of
0:11
inspired this is the second edition of
0:13
his book you may have read the first
0:14
edition or maybe read this one tonight
0:16
he gave a new talk on product strategy
0:19
and so we were very excited to hear
0:22
about that he shared a lot of great
0:23
insights and advice we also had a lot of
0:26
great Q&A with the audience so I hope
0:28
you enjoy it if you do please like the
0:29
video subscribe to our Channel and also
0:32
sign up for notifications so you get
0:34
notified when we publish other videos
0:36
thanks and enjoy it's good to see
0:37
everybody and I am curious how many of
0:41
you might have been it's like an annual
0:43
tradition of Dan and I come here each
0:45
year but I was about this time last year
0:48
and I gave a talk that I wanted to see
0:51
how many of you might have been here for
0:53
that just quick show of hands some of
0:56
you the reason I ask is because I talked
0:59
about it was actually a talk that was
1:02
describing what I wanted to work on for
1:04
the next several years just quickly in
1:07
summary that you know my book inspired
1:11
is really about how good product teams
1:14
solve hard problems in ways customers
1:16
love but work for the business and
1:18
admittedly that's my favorite thing to
1:20
do I love working with teams to do that
1:22
that's when most people get into product
1:24
to do but I shared last year that I've
1:28
met many teams I realized that was in a
1:31
bubble here in Silicon Valley and I met
1:34
many teams not only outside of Silicon
1:37
Valley in fairness but also any right in
1:39
San Francisco that they're not allowed
1:45
to work that way they're literally not
1:47
allowed to work the way a good team
1:49
works and this of course is just insane
1:52
to me and I wanted to understand why and
1:55
I sort of went on a crusade I started a
1:58
multi-year effort I gave a talk last
2:02
year which was about empowered it was
2:04
about the difference is an empowered
2:07
product team versus a
2:09
command-and-control
2:10
also known as a feature team and I
2:13
talked a lot of
2:14
you know feature teams are given a road
2:16
map and they just crank out features
2:17
versus a real product team which is
2:19
there to solve problems and I also said
2:22
that I was planning for the next several
2:26
years to write about what's necessary to
2:30
actually change into one of these
2:32
companies to move from the most kind of
2:35
company to the best kind of company and
2:37
I have for those that haven't been
2:40
following you know my blog I have been
2:44
writing many articles my initial focus
2:46
was on the biggest area I felt was
2:48
missing which was coaching that the
2:51
managers were not doing their jobs to
2:53
develop their people and it in for an
2:56
empowered product team you really need
2:58
that it's a hard job in fact I have been
3:02
increasingly honest and frank with
3:04
people about the difference between
3:06
being a product manager on a feature
3:08
team and a product manager on a true
3:10
empowered product team on a feature team
3:14
which is what most people sadly are it's
3:18
really a project manager with a pretty
3:20
name pretty title it's really a project
3:23
manager
3:24
they are Shep if you think about it
3:26
what's really going on is there's a
3:27
little bit of design and maybe if you're
3:30
lucky a little usability testing and
3:32
then code QA ship that's what goes on so
3:36
the quote product manager is really
3:38
there to herd the cats get everything
3:40
getting from design into engineering and
3:43
out and of course that is not what good
3:48
companies do and that is not how they
3:50
solve problems and I had talked before
3:53
about why and you know how good
3:55
companies work but I didn't really shine
3:57
a light on the difference and so I have
4:01
been doing that my series on coaching
4:05
has been going for months and I finished
4:08
most of the topics I wanted to write
4:10
about I've got a few more I should
4:13
mention din and I do share a publisher
4:14
and I agreed to another book so all of
4:17
these articles are one day want to be
4:21
chapters in a book depending on and how
4:23
well they do out with the community so I
4:26
share each one and I get feedback and I
4:28
decide if I can improve it or if I
4:30
should just scrap the idea or we think
4:32
the idea whatever but the nice part
4:35
about that is when I do actually get to
4:37
the point of a book I have a lot of data
4:38
that says this is actually answering
4:40
real questions and so I like the process
4:43
so it's some work now though I told Dan
4:50
I have a few other talks and I wanted to
4:54
use this group which honestly I consider
4:56
my home group this is my you know this
4:59
is where I'm spent 40 years so I love
5:03
this area and I and of course a lot of
5:06
you I've met before and know many of the
5:08
companies and I said I wanted to try out
5:10
a new topic I'm gonna admit I actually
5:13
picked the hardest topic to talk about
5:15
because this is one actually product
5:18
strategy is what I usually reserve for
5:21
when I advise a company because and
5:24
that's pretty much what advisors do is
5:26
strategy there's a little bit on
5:29
technique and process and stuff but
5:31
mostly it's about strategy that's a lot
5:33
easier to do one-on-one with a company
5:35
than it is to talk in general terms so
5:39
alright but I had to talk tackle that
5:41
with the purpose of the book so I am
5:45
trying out a big topic on you
5:47
and I'll also warn you that this really
5:51
is a big topic I'm not exaggerating we
5:54
could talk all day on this and so I kind
5:57
of I'm gonna plan a lot of seeds with
6:00
you I'm not trying to just tease you or
6:03
anything it's just I want to get you to
6:05
rethink some of the things that are
6:07
going on and in probably your company in
6:09
many companies for those that haven't
6:13
heard me talk I'm kind of all about the
6:15
difference between the best companies
6:16
and the rest I will admit to especially
6:20
in this book there's four companies that
6:22
have very heavily influenced me I went
6:24
back to these companies I was really
6:26
looking at what's different those are
6:28
Amazon Google Netflix Apple now of
6:32
course there's other really good
6:33
companies Airbnb slack Etsy we can keep
6:37
going other really good
6:38
companies but those four I'm just sort
6:41
of confessing that they had a
6:43
disproportionate impact on me and partly
6:46
because they have consistently innovated
6:49
they really have and sort of they've
6:51
earned their place for me and the other
6:55
reason was is because those four
6:57
companies if you've been inside those
6:59
four companies they have very different
7:01
cultures and this is something that kind
7:04
of makes this whole discussion tough
7:07
because I I'll admit I used to say good
7:11
companies had a strong product culture
7:13
bad company's IT culture you've probably
7:15
heard that and the truth is it's more
7:18
nuanced than that yeah for example all
7:21
you have to do is go visit an Amazon go
7:22
visit Google and there are two
7:24
completely different planets they have
7:27
very different cultures yet you'll see
7:31
they have very common philosophy when it
7:34
comes to the topic of empowered product
7:37
teams in fact they share that with them
7:39
with Google and with Netflix and so I've
7:43
been spending time untangling what I
7:46
think is really essential about those
7:49
four companies from what's just honestly
7:52
a reflection of their founders so what I
7:56
think is really important from what's
7:58
just sort of incidental and admittedly
8:01
that's driven a lot by my own judgment
8:03
of this but but that's what I'm sharing
8:05
with you it's like those companies do
8:08
strategy much different and much better
8:12
than most companies as an example they
8:15
also do coaching much better and so
8:17
these are the things I'm talking about
8:18
so Dan did a good job giving you my
8:21
background so I don't need to repeat
8:23
that what I do is let's start by talking
8:26
about what I even mean by product
8:29
strategy so empowered product teams are
8:34
all about giving teams hard problems to
8:37
solve and also giving them the space to
8:41
solve them the Netflix phrases that is
8:44
give them freedom and give them space to
8:47
do their thing and that's really what
8:49
we're talking about now the real
8:51
question though
8:52
here how does a company decide which
8:55
problems they should actually work on
9:00
that's what we mean by strategy product
9:04
strategy
9:05
let's also admit there's market strategy
9:08
business strategy sales strategy every
9:11
kind of strategy we are talking product
9:14
strategy which is really another way of
9:16
phrasing it is how do you make the
9:17
product vision a reality
9:19
but this is this topic of product
9:22
strategy is really a critical topic
9:24
because it's the bridge between your
9:27
vision and what product teams actually
9:30
work on that's what's key now this is
9:35
one of the most remarkable things to me
9:38
but when we talk about most companies
9:40
rather than the best companies many of
9:43
you probably seen this it'll just be a
9:45
fun one I can watch this a hundred times
9:47
this is the underpants gnomes if you
9:49
don't know the underpants gnomes you're
9:51
in for a treat this is the shorter
9:54
version if you watch this at work turn
9:58
down the volume but anyway let's show it
10:03
and then I'll tell you why I relate to
10:05
it so well I cut off some of the more
10:43
egregious issues things they talked
10:45
about in there but honestly I know
10:49
that's I mean it's funny but it's so
10:51
true this is so true I cannot tell you
10:55
how many companies I meet they have some
10:57
big objective you know they're pretty
10:59
much all the same to like double revenue
11:01
and reduce our churn rate all this so
11:03
they have all these big you know
11:05
objectives but but then all of a sudden
11:09
you got a road map of a hundred features
11:12
it's like what yeah you know what is
11:15
missing from this picture strategy is
11:18
missing from this picture now it's more
11:21
insidious than that I really do believe
11:23
I understand the reasons that's missing
11:25
now fundamentally at one level the
11:29
reason it's missing is because it's hard
11:31
and companies hate hard things I mean
11:34
I've learned that over the years for
11:36
sure they hate hard things and you know
11:39
there are if you go online in Google
11:42
like products strategy or make the
11:44
mistake of saying product strategy
11:46
framework you will get all kinds of
11:50
garbage that comes back that tries to
11:53
give you like a fill-in-the-blank thing
11:56
and that you know and that's course
11:59
they're useless now one of the reasons
12:01
well you'll see why but these things are
12:04
useless and also a lot of people
12:07
most companies honestly don't do
12:09
anything I'm serious they're they don't
12:10
do anything they go right to roadmaps
12:12
but some companies like we should have a
12:15
strategy I mean they talk about that in
12:17
business school we should have a
12:18
strategy so what do they do they hire
12:21
our McKinsey or they hire Bain or
12:23
somebody like that which they don't
12:25
realize it but they're actually giving
12:26
them a business strategy not a product
12:28
strategy so it's not even really useful
12:30
to us but still they feel like they have
12:32
a nice PowerPoint presentation now that
12:34
they can show oh my gosh it's really
12:37
it's really depressing but if you look
12:41
at what a real good strategy is there is
12:44
some talented leader and honestly this
12:47
is a theme I come back to all the time
12:49
in the good companies they have good
12:51
leaders it's really the key difference
12:54
but they have a talented leader that
12:57
identifies the few critical issues and
13:00
they actually figure out how to get
13:03
leverage out of what they work on and
13:06
then they focus the attention the action
13:10
on things that actually matters that is
13:14
so different than what most companies do
13:17
now
13:19
what I wanted to drill into is Wow
13:22
well why don't companies really do this
13:25
the fundamental reason is because it's
13:27
hard but the more specifically there are
13:32
four things that have to be done well to
13:35
do have a good product strategy and each
13:37
of those four things as you'll see that
13:40
you probably know are difficult things
13:42
for companies to do if it was easy we
13:45
wouldn't have this issue so what I
13:47
wanted to do is sort of work through
13:49
these four things both pointing out what
13:53
I find in most companies and then trying
13:55
to show you what I see in good companies
13:58
of course where we really need more time
14:00
would be and what a good companies do
14:02
and that is why I'm working on a book so
14:04
all right let's talk about the the four
14:09
big things first of all they have to be
14:12
able to focus that word most companies
14:15
are allergic to that word they really
14:18
don't understand what focus is most of
14:22
them think it's prioritization is not
14:24
prioritization but we'll talk about what
14:26
it really is but they have to focus on
14:28
the critical problems it's one of the
14:31
true things about businesses that not
14:33
all problems are equal alright second
14:37
they have to generate insights on how to
14:40
attack those problems that's a hard one
14:44
for most companies it's the heart
14:48
it's the heart of good companies but
14:51
it's very hard for most companies third
14:53
they actually have to coordinate the
14:56
actions for each product team this is
14:58
this is literally where a strategy turns
15:01
into work turns into actions and then
15:05
finally they have to actively manage I'm
15:08
still looking for the right verb there
15:10
but it's because I do not mean
15:13
micromanage here of course I do not mean
15:16
that but I also don't mean passive
15:18
management so many people think that
15:21
agile teams and say and honestly even
15:24
they think empowered teams mean back off
15:27
managers and it is so not true it's
15:30
exactly the opposite
15:32
so we need to talk about I say this a
15:34
lot now is just we don't need less
15:37
management we need better management so
15:40
these are the four things and I want to
15:42
drill into each of them let's start with
15:44
focus so you guys know most companies
15:52
this is not really a secret how many
15:54
companies struggle with focus and being
15:58
able to really choose and I want to be
16:00
clear what I mean by focus I was
16:03
actually at a company just recently and
16:05
and I I've seen this on many companies I
16:07
wouldn't be surprised if you've seen it
16:09
at yours so all along some wall
16:11
somewhere or at least on some
16:13
spreadsheet floating around is a list of
16:16
the top priority initiatives or whatever
16:19
you want to call them the big things not
16:22
the little thing I'm not even talking
16:23
about little roadmap I'm talking about
16:24
the big things and this one company had
16:27
over 60 of them literally and those were
16:31
like we must do 60 things we must do and
16:36
you know what's funny is I had this
16:37
conversation with their leaders I mean
16:39
like did you can we talk about focus and
16:42
they're like oh yeah that's the prune
16:43
down list right we wanted to do much
16:47
more we know what it means to sacrifice
16:50
no but honestly I'm gonna be real with
16:55
you at this level if you've got more
16:56
than a few it's too many so we have to
17:00
talk about how people do that I feel a
17:04
little guilty about what I'm about to
17:06
share with you here because I don't know
17:08
these people personally but I have been
17:11
how many I don't know how many of you
17:13
seen a few years ago an otherwise
17:16
excellent resource for product people
17:18
the first-round review some of you may
17:20
know that one of my favorite bc's first
17:22
round capital in Philadelphia they pop
17:26
they have a really good blog but anyway
17:28
they published this article talking
17:30
about the Pandora product prior to
17:33
prioritization process some of you may
17:36
have seen it for years I have been
17:38
forwarding a link to this to people to
17:40
say this is exactly what you don't
17:43
do seriously it is exactly it is the
17:48
poster child for bad strategy well
17:53
honestly it's not even fair to call it a
17:55
bad strategy it's no strategy because
17:58
and for those that don't know and I and
18:00
it is true there's this kind of extreme
18:02
but it's really very similar in
18:04
principle to what so many companies do
18:07
so what they do is they basically
18:09
imagine sort of the absence of product
18:12
management or product strategy or
18:14
product leadership all they do is they
18:17
have a certain amount of engineering
18:18
capacity which in fairness to them in
18:22
their case was not very much what's sort
18:23
of the root of the issue but anyway we
18:25
all have not as much as we want so they
18:27
had some engineering capacity and of
18:29
course they wanted to try to satisfy as
18:32
many stakeholders as they could so the
18:35
way they do it is they give fake money
18:37
to each stakeholder proportionate you
18:41
know to what the CEO says you get twenty
18:43
dollars you get thirty dollars and they
18:45
could buy whatever features they want
18:48
that's their process and of course they
18:52
were bragging about it because it's like
18:57
the stakeholders you know get to get
19:00
what they want this is exactly what I
19:02
mean by difference between a product
19:04
team is there to serve the customers and
19:05
ways that work for the business versus a
19:08
feature team is there to serve the
19:10
business that's exactly what's going on
19:13
I didn't know them I still don't know
19:15
them but when I read it read the article
19:17
I was thinking okay well this is what
19:19
happens when you have zero product and I
19:22
was certain certain that first of all I
19:26
knew they were gonna get a ton of
19:27
features because that is a mission that
19:29
is a recipe for a ton of features but I
19:32
also knew there's almost no chance
19:34
there's going to be innovation almost no
19:37
chance and that in in a in our tech
19:40
powered company to me that's just it's
19:43
only a matter of time so I didn't know
19:46
when it would happen but it's
19:47
interesting right after this article was
19:49
published if you had watched they went
19:52
public I think it's sixteen dollars a
19:54
share just
19:57
like this gradual wasn't overnight over
20:00
years gradual at $8 a share they got
20:04
sold to welter basically for Salvage
20:07
price to Sirius XM which is their dead
20:11
so that's exactly what you would predict
20:16
would happen if this is you know at the
20:19
absence of product strategy at the
20:21
accents of product management so many
20:24
companies then where these roadmaps are
20:26
actually coming from is a negotiation
20:29
with the different lines of business so
20:32
it's not really much different they're
20:33
just sort of being very overt about it
20:36
now I want to be a little fair I'll get
20:39
and I don't know them but I I want to be
20:40
fair every time I've seen a system like
20:43
that it's not the product people are
20:46
saying we should do this they're forced
20:48
to usually it's the CEO or the other
20:51
leaders are forcing them and when I also
20:54
learned in that article that they went
20:57
public
20:58
remember Pandora went public with 40
21:02
engineers think about that 40 engineers
21:06
now of course as investors first round
21:09
is this is such an awesome company only
21:12
40 engineers look what they've done I'm
21:15
thinking they had no business going
21:17
public with 40 engineers and I think in
21:22
hindsight it was clear they were because
21:24
they were obviously these are people
21:26
competing with Spotify with Apple with
21:29
the serious players and 40 you know
21:32
you're not so in fairness to them with
21:35
only 40 engineers I don't know what they
21:38
could have done and the truth is if I
21:41
was the head of product I would have
21:43
known that the stakeholders no matter
21:45
well how much funny money we give them
21:47
they are not going to be happy and so
21:50
this was maybe a way to make as many of
21:53
them you know at least include them in
21:57
demise together
22:01
yeah but that is that is a good example
22:07
of a company with no strategy now what
22:10
they really were doing and I don't know
22:12
if they realize this or not but they
22:15
were they were confusing what they were
22:21
confusing was focus and prioritization
22:25
because what they were really doing was
22:27
a prioritization process not a focused
22:29
process so I want to talk about focus a
22:32
little bit because we need to talk about
22:35
what that really means and why it's so
22:37
essential it's just one of those words
22:39
that's thrown around every single
22:40
company but it's largely meaningless
22:43
it's really means two things the first
22:47
is that only a few things on that and 55
22:52
or 60 item list will actually have the
22:54
chance of moving the needle
22:55
realistically everybody learns this I
22:59
think in their in a different way when
23:02
they learn it I remember still the time
23:05
I learned it and it was because it made
23:07
such an impression on me I learned this
23:11
lesson about real impact and focus
23:13
because well like Dan said I started
23:16
started as an engineer actually very
23:18
close to here in Palo Alto at HP Labs
23:21
and you know I was right out of
23:24
university and I had known you know
23:26
which basically means I knew the theory
23:27
of you know programming but not really
23:29
much of the practice of it so one of the
23:32
nice things that at HP Labs was they had
23:35
what we would today call pair
23:36
programming it's where we were paired
23:38
with somebody and I was paired with a
23:40
great guy actually who was fortunately
23:43
for me answered all my questions and
23:45
very tolerant but so we were I was
23:50
honestly not programming I was watching
23:52
him that's he was very good and but it
23:55
was amazing education for me amazing
23:58
education and one of we were working on
24:01
system software development tools
24:04
development environments and one of our
24:06
objectives that we had was performance
24:10
and it's that kind of software it's
24:12
still like if you adapt
24:14
performance is still one of those things
24:15
but anyway so I'm every time we started
24:19
working on something you know when I saw
24:22
code that was obviously not that
24:26
efficient I was his name was Brian and I
24:30
said what about let's work on that we
24:32
could definitely improve that and he
24:35
would say well we could but we're not
24:37
gonna and the next day the next area we
24:42
could we're not gonna he just kept
24:43
saying that and honestly I alright
24:46
alright anyway about a month later or so
24:50
he says now we're gonna work on
24:52
performance finally and so first thing
24:55
he does is these brings up the
24:56
performance analysis tool which is on
24:58
basically every operating system and and
25:01
we run it through some paces the
25:03
software through some paces and sure
25:05
enough there's a online report that
25:07
comes out and there were three things
25:10
where all the time was going and he
25:13
really wanted me to see this and he said
25:16
here's why I kept saying no before we
25:19
could have fixed every one of those
25:21
issues that I pointed out and he said
25:24
the truth was even if we did every one
25:26
of them the user would not have
25:28
perceived any difference would have made
25:31
no perceptible difference however if we
25:35
focus on these three areas we're gonna
25:37
make all the difference and he said
25:40
that's what goes on across the
25:42
organizations all the time
25:43
everybody's told to work on tech debt
25:45
which means nobody really does the hard
25:48
stuff with tech debt that really has to
25:50
happen or everybody's supposed to work
25:52
on growth and nobody really moves the
25:55
needle on growth same with retention all
25:59
these things they don't everybody does
26:02
just a little bit nobody really puts the
26:04
effort in to make it happen and it
26:07
really made an impact on me that was
26:09
obviously a software engineering
26:11
application of this theory but it's I
26:13
think it's really true there's only a
26:15
few things that really make an impact
26:18
the reason that product Pandora process
26:21
was so flawed is because it ignored that
26:24
and it was trying to be politically
26:26
correct
26:27
and please as many stakeholders as they
26:30
could not impact now there's another
26:35
dimension to this is just also going on
26:38
here that makes focus so essential
26:41
because you could you could say well
26:44
just prioritize the things and work on
26:47
you know the top priority but the truth
26:50
is especially in organizations if you
26:56
try to work on too many things at once
26:57
everything slows down now of course if
27:01
your team is running Kanban or something
27:04
this is one of the fundamental concepts
27:06
this idea of whip limits work in process
27:08
the bottom print the bottom line is if
27:10
you try to work on a few things at once
27:12
you know you will bottleneck and things
27:15
slow down you actually get more
27:16
throughput if you limit the things and I
27:19
absolutely see that play out every day
27:21
with teams but the truth is it's even
27:23
more true and much more dramatic at an
27:26
organizational level because now you're
27:29
talking about senior leadership's
27:30
attention and decision-making and
27:33
removing obstacles and that it now if
27:37
you get an organization try to do even
27:39
ten of these big things at once they are
27:42
just it's just like the freeways here
27:44
you know too much on there nobody goes
27:47
anywhere
27:48
it's the same principle so focus is so
27:53
critical because you really have to make
27:57
sure you've only got a few things at a
27:59
time going through your own organization
28:01
and they need to be the things that
28:02
really can move the needle now I haven't
28:07
told you how you pick those things that
28:09
can move the needle but the honest
28:11
answer for that is that's where the
28:12
smart leader comes in where they really
28:15
are studying the data studying the
28:18
business the the model of the company
28:21
and understand those dynamics all right
28:25
but the big takeaway here is
28:27
prioritization is not focus you really
28:31
need your organization to pay and this
28:33
is a primary responsibility of product
28:36
leadership you know working with the CTO
28:40
see
28:41
is usually not the problem here this is
28:43
more on the head of product but to
28:46
really understand that we are not
28:48
talking about prioritization we're
28:50
talking the top few things the things
28:52
that really can move the needle in fact
28:55
I find most organizations they spend way
28:59
too much time worried about
29:00
prioritization and honestly this is
29:03
another talk but it's not only as a
29:05
waste of time it's predicated on things
29:09
that they don't know they are guessing
29:12
about how much money would be made
29:14
they're guessing about how hard it would
29:16
be they have no clue though so it's all
29:19
guesses anyway so I try to get
29:22
organizations to stop focusing on this
29:24
prioritization concept and instead learn
29:28
to focus all right and you know part of
29:31
that is getting very good and fast at
29:34
trying out ideas we'll talk about that
29:37
all right second point I brought up was
29:40
insights insights are actually where you
29:46
know as an advisor that's where I spend
29:48
a lot of time with the teams now we'll
29:52
talk about those but it's in most
29:54
companies actually this is sort of what
29:57
I see I'm staying with my gnome friends
29:59
there but the they are literally not
30:03
interested in the insights they are not
30:06
interested in the insights because they
30:07
are too busy basically trying to satisfy
30:10
the stakeholders they're not looking at
30:13
the insights they're not they're just
30:15
not even even when they're right in
30:16
front of their face if you go in most
30:19
companies again most companies are
30:21
feature teams and they do a little let's
30:23
say usability testing on some design and
30:25
sometimes they actually learn something
30:28
pretty interesting and you go try to
30:30
tell they had a you know director a VP
30:33
product about this insight that you just
30:35
got about your customers okay what are
30:40
we gonna do with that it's not really
30:42
something they're interested they
30:43
already have a roadmap for the quarter
30:45
not interested it's like where do
30:47
insights fit in their model they don't
30:50
but this is what's essential we need to
30:54
talk about it
30:54
strong companies insights are everything
30:57
so we get insights then I want to be
31:00
clear the truth is insights can come
31:01
from anywhere anywhere I was actually
31:04
what's one of the eye I'm a big advocate
31:06
of Ben Thompson's blog strattera
31:09
is it which is really a business
31:11
strategy little product strategy with
31:13
mostly business strategy blog but I
31:15
loved his thinking and it's one of the
31:18
companies I was with thanks to they got
31:21
a really good insight from another
31:23
company in their industry but in a
31:25
really good insight that led to some
31:27
really good product work that really
31:30
looks like it's moving the needle so
31:33
insights can come from anywhere I'm not
31:35
trailer but there are some major sources
31:38
of insight qualitative insights I mean I
31:41
put them first because in truth this is
31:43
my favorite source qualitative insights
31:46
is usually coming from chat
31:48
conversations with our customers and our
31:51
users and they can be prospective
31:53
customers they can by the way be former
31:55
customers they can even be competitors
31:58
customers it is amazing what you can
32:01
learn and it is I don't think there's a
32:04
substitute for the face-to-face
32:06
interactions we do its users and
32:08
customers you just have to realize when
32:10
you're doing that you're not trying to
32:11
prove anything you're just trying to
32:12
learn but it is amazing what you can
32:15
learn and just off the wall great
32:20
insights you know they're very
32:21
unpredictable when you do qualitative
32:24
but I encourage product teams to do to
32:27
gather qualitative insights every single
32:29
week normally we do that by trying out
32:33
our prototypes with customers to see how
32:35
they respond
32:36
but that's really a teeing up of a very
32:39
high quality conversation about why they
32:41
wouldn't use this and what it would take
32:43
to get them to use it so I adore
32:47
qualitative insights and if I had to
32:49
sort of credit any one source for the
32:52
best progress in product from my
32:54
experience it's that but there is no
32:58
question there is a close second today
33:00
and probably in five years I'll reorder
33:02
these two because the quantitative
33:05
insights are phenomenal
33:07
we are talking about insights based on
33:10
data with this might be data that we
33:13
aggregate over time in our data
33:15
warehouse trying to better understand
33:17
our customers very often it's an a/b
33:21
test that surprises us and that inspires
33:23
us to go figure out what is going on
33:26
which is often back to the qualitative
33:28
testing but they are these quantitative
33:31
insights are phenomena and phenomenal
33:33
and so many companies today the thing
33:36
about the quantitative side is you
33:40
really need some pretty significant
33:41
volume of data but then it just gets
33:44
better and better and better so it's you
33:46
know it's not something that's
33:47
especially useful to most startups and
33:50
most certainly most b2b but pretty soon
33:53
you start to get serious traffic you
33:56
start to get some real history here and
33:58
you start to get some real insights on
34:00
the data and I should also emphasize a
34:03
lot of the biggest insights are really
34:05
blends it's looking at both because
34:08
quantitative might tell us what's
34:10
actually happening but icky it generally
34:12
can't tell us why so the qualitative can
34:14
help explain what's going on and then
34:16
you have that big aha moment and then
34:19
you direct the product organization to
34:21
really fix that problem and now we've
34:23
made a real difference so that's another
34:25
great source of insights and you know in
34:30
our industry this is what I think is
34:33
great about our industry is the
34:35
technology foundation is always changing
34:38
which means you know from a product
34:41
perspective the way we think about that
34:42
is there are things we can do today that
34:44
we could not do tomorrow yesterday
34:46
tomorrow we couldn't do yesterday and so
34:51
that's what we are looking for right
34:54
things that are just now possible and
34:57
you know this is by definition a moving
35:00
target
35:01
we are always evaluating new
35:03
technologies now of course products
35:05
people and our technology counterparts
35:07
have to use their judgment you know some
35:09
things are fads some things are real
35:11
trends you have to decide you have to
35:13
separate the marketing hype from the
35:15
reality so it was actually
35:21
I've been charmed in my career so lucky
35:23
but when I went and studied computer
35:25
science I actually studied artificial
35:27
intelligence which if well if you knew
35:30
the year I graduated that would be like
35:32
do they even know what that was
35:33
it was so is like but back then that was
35:38
like the next big thing and of course it
35:41
was not even close to the next big thing
35:44
but the funny thing is there there was
35:46
like three more times where it became
35:48
the next big thing and it just sort of
35:50
fizzled out it wasn't until the last
35:53
couple years that it's like you know
35:54
what this is not a fad this is a real
35:56
thing because now there are real
35:58
solutions that are based on this it's
36:00
not just theory the theory honestly
36:03
hasn't changed all that much but now
36:04
it's practical and you can use it for
36:07
real and of course there's a big reason
36:09
for that which is the volume of data
36:10
that it's predicated on but anyway I
36:13
love that's what I if I had to pick one
36:17
thing that makes me love this industry
36:19
so much it's the enabling technology and
36:22
that it is always getting better I
36:25
I go to China every year and don't worry
36:29
I was not just in China
36:33
I did have a trip I had to cancel but I
36:36
I was there well before anything was
36:40
going on but they're amazing what
36:45
they've been doing China is just I um I
36:48
used to feel like Silicon Valley was
36:50
pretty much ahead of the world not so
36:53
much especially in China is just what
36:57
they've done you know they have three
36:58
times the market we do in the u.s. three
37:01
times and they also have some of the
37:05
best teams in the world now and of
37:08
course this they're a good example of
37:11
the nonlinear value provided by data
37:14
when you get more and more data you
37:16
start being able to do things that you
37:18
could never do before
37:19
it just becomes much more practical
37:22
instead of a week for a test day for a
37:24
test that kind of thing
37:26
so anyway technology's fabulous and the
37:29
last is there are insights in our
37:31
industry our market our competitors and
37:35
that that would be an example from
37:37
things like strattera
37:39
but they're so always always interesting
37:43
things to learn in our in your industry
37:45
and from other industries I love how the
37:48
enterprise market is learning from the
37:50
consumer market today and adopting a lot
37:52
of the practices but at strong companies
37:56
they live for this this is that dynamic
37:59
in strong companies it's not just a once
38:03
in awhile thing that a designer comes to
38:05
a you know our product manager says hey
38:07
this week we learned something
38:09
interesting this is like what they live
38:11
for in fact a big responsibility of the
38:15
managers and leaders is to collect this
38:17
and disseminate these learnings they are
38:21
literally there to connect the dots they
38:24
are there to connect the dots so it's
38:27
not you know a lot of people wonder well
38:28
what do I do with this learning you know
38:30
just putting it out on slack it's not
38:32
it's not going to go anywhere useful
38:33
they first of all it needs to be really
38:36
curated people have to think about how
38:39
it fits in with a bigger picture and
38:41
then it has to be intentionally
38:43
disseminated like
38:44
like if you're a leader and you know
38:47
this other team over here really should
38:49
hear about this learning you're gonna go
38:51
and share that learning or connect them
38:54
with that team and if it's a general
38:57
enough learning you're gonna have like
38:59
it the weekly or the monthly one-on-one
39:00
you're gonna say hey we had some big
39:02
learnings this week that you need to
39:04
know about those learnings could be any
39:06
of these things right it could be any
39:08
kind of learning but they are they're
39:10
sort of like a learning distribution
39:12
machine these leaders and I find it so
39:16
different than the not good companies
39:20
it's like they're the not good companies
39:22
are not even in this game they're not
39:24
even trying alright so yeah the core of
39:32
strategy work is really always the same
39:34
discovering the critical factors these
39:37
are the insights here and designing a
39:39
way of coordinating and focusing the
39:41
action to deal with those problems those
39:44
factors so that leads us to the next big
39:47
topic which I would argue is where it
39:49
really this is where the rubber meets
39:50
the road hood if you will action we need
39:53
to turn our insights into action now I
39:59
have to admit because in truth I'm now
40:02
all about the empowered product teams
40:03
I'm not spending any time helping
40:06
anybody to become a better feature team
40:08
believe it or not I have been asked I'm
40:11
like not interested first of all there's
40:13
like a thousand other people that that's
40:15
all they seem to want to do so go to
40:17
them I want to focus on empowered
40:19
product teams but I will also admit that
40:22
there are two ways of turning insights
40:25
into action the command-and-control way
40:28
which generally turns into a road map
40:30
and the empowered team way now this is
40:34
going to yield this is going to be a
40:36
little bit of a complicated discussion
40:37
here let me start by pointing out that
40:41
it is not hard to generate activity we
40:46
have no trouble doing that in fact that
40:49
kind of is what makes it a big problem
40:52
and you know I have to say agile only
40:54
made this worse
40:56
it really did and for the record I
40:58
always advocate the team should be
41:00
delivering with some agile process like
41:02
scrum or Kanban but this is it made it
41:05
worse because it made it even easier to
41:09
crank out features faster than ever it
41:12
did it did so that was not the point of
41:15
course but that is a consequence and the
41:18
hard part is getting the right things
41:20
done the things that matter you know the
41:23
things that have an impact and can
41:25
really move the needle I don't know if
41:27
you've seen this little video Dan Monty
41:30
Python I love this one have you seen
41:33
this one but oh thank you that's right
41:37
we're gonna break everybody's eardrums
41:39
again this is this is literally what I
41:41
see in my mind when I see companies
41:45
doing the normal road from out process
41:47
we good
41:57
Oh
42:01
I swear that's what's going on with your
42:08
roadmaps to me it's exactly what's going
42:18
on it really is exactly what's going on
42:21
they are just going in every different
42:23
direction
42:24
and you don't each one of those runners
42:26
if you're going to call it that are are
42:28
like serving some stakeholder on some
42:31
part of the business they're all I doing
42:33
something but if you look holistically
42:35
they're making no real impact that is
42:39
what's going on so what we need to do is
42:43
we need to focus the minds we need to
42:47
focus the minds of the team right there
42:48
energy into action and this is really
42:53
what makes a difference and this is this
42:56
is where it's so clear the difference
43:01
what I really want to talk about but
43:03
I'll be honest I'm a little hesitant to
43:05
talk about it is is okay ours so I'm
43:15
gonna just jump in anyway we'll see what
43:17
happens so well let me start by
43:22
professing this I do not recommend okay
43:25
ours anymore I used to recommend them
43:28
all the time I was a very vocal advocate
43:30
I do not recommend okay ours
43:33
I'll unless they're already in the
43:36
Empowered product team model which most
43:38
companies are the fundamental issue well
43:42
most people know and and it's been
43:43
plenty of years just give it a try most
43:45
people know that okay ours and most
43:47
company is our big waste of time just a
43:50
big waste most of them have pushed it
43:51
off to the side and it's just okay our
43:53
theatres there you know it's easy to
43:56
tell because they're given objectives
43:57
and they're given roadmaps it's like so
43:59
what do you think they're gonna do
44:00
they're gonna do the roadmaps and so the
44:02
object that they'll key ours are really
44:04
not now what's going on here is okay
44:07
ours came from the empowered product
44:11
team company model that's the company
44:14
that it came from this was in tell this
44:17
was Google this day arrow around the
44:19
model if you take a company with feature
44:21
teams and try to just overlay ok ours
44:26
you get the mess you see in companies it
44:29
makes no sense I try to explain that you
44:36
know people think and it's not hard to
44:39
see why they all flock to ok ours
44:41
they're like oh cool uses it Amazon
44:43
they're all making tons of money it must
44:46
be because they use ok ours that's
44:49
really what they're thinking so they're
44:50
thinking hey ok ours are actually pretty
44:52
simple come on there are pretty simple
44:54
right here's an objective here's some
44:56
results go for it
44:57
but what's going on is that it's a true
45:03
cultural mismatch they are not
45:06
successful these good companies because
45:08
they use ok ours they use ok ours
45:11
because they go with the empowered team
45:13
model that they've embraced so the real
45:16
issue is moving to the empowered team
45:19
model now if you've done that that's
45:26
what it's for and I do advocate it for
45:28
that situation but I've really learned
45:30
my lesson you know because I can talk
45:33
about all these things you can do and
45:35
then they gravitate to ok ours because
45:37
they're so easy conceptually super easy
45:40
conceptually much harder than the kinds
45:42
of changes I'm talking about like
45:43
managers doing their jobs
45:46
coaching investing in staffing I mean we
45:50
could talk about all the things that
45:52
good leaders are really supposed to be
45:54
doing it's a lot easier just to do ok
45:56
ours alright so let's talk about this
46:00
for ok ours to be helpful and meaningful
46:04
there's three things that are really
46:07
essential the first is you've got to
46:10
have empowered product teams not feature
46:13
teams and if you're not ready yet to
46:15
make that transformation you know save
46:16
yourself a bunch of time but that and
46:20
you know that is a big change hopefully
46:23
people know what I mean by that if you
46:25
haven't if you don't
46:28
I would plead with you actually to read
46:30
an article if you just google s vpg
46:33
empowered team feature team something
46:35
like that it'll take you to this article
46:37
it is happily it was pretty popular
46:40
I've actually been writing about this
46:42
stuff for years but for whatever reason
46:44
I think I hit a chord with that one and
46:46
people like ok now I understand and
46:48
unfortunately yes we're a feature team
46:50
they understood that now so you really
46:55
need to look at that it's a difficult
46:57
transformation I mean this all the
47:00
companies that are trying to do a
47:01
digital transformation they don't
47:03
realize this but what they really need
47:05
to do and what they are if they want to
47:07
succeed is convert from feature team to
47:10
empowered product teams but that is not
47:13
a minor change but for you the good news
47:16
is it actually requires these people
47:18
called product managers but of course
47:21
I'm not talking about the project
47:23
manager product manager I mean a real
47:25
product manager in fact I I used to help
47:31
you you know I I have not been shy about
47:33
using the term a good product manager is
47:36
the CEO of the product but I would get a
47:39
lot of frustration and confusion with
47:42
that and it took me a while to figure
47:44
out what was going on and then I
47:47
realized it they're talking about
47:49
feature team product managers a feature
47:52
team product manager could not be
47:54
further away from the concept of a CEO
47:56
of a product that's that's so silly it's
48:00
like literally pointing to the project
48:02
manager and saying you're the CEO no
48:04
it's not even close the CEO the product
48:07
concept comes from the empowered team
48:10
model that's where it comes from because
48:12
like a CEO if you think about a start-up
48:15
CEO the designer is responsible for a
48:18
usable solution and the engineers are
48:20
responsible for a feasible solution but
48:22
that founder is responsible for making
48:24
sure it's valuable people will buy it
48:26
and viable it works for a business you
48:29
can market it you can sell it you can
48:31
make money from it you can fund it
48:34
that's exactly we lost one screen but
48:40
that's exactly what a
48:42
real product manager is responsible for
48:44
so you know that's a big difference
48:47
right now because if you think about it
48:49
on a feature team
48:51
nobody is explicitly responsible for
48:53
value or viability it's dispersed among
48:56
the stakeholders it's basically if some
48:59
executive asks for something on the
49:00
roadmap they're taking responsibility
49:02
for that they don't necessarily realize
49:04
that but they are if they say add this
49:06
feature there somehow believe that
49:09
feature is valuable and that it's okay
49:11
to do in an empowered product team they
49:14
don't do that they give them problems to
49:16
solve and the product manager is
49:18
responsible to make sure that solution
49:20
is valuable and viable so it's this is
49:25
the real product manager job well I
49:27
should say this in the industry I grew
49:30
up with and I'm comfortable saying this
49:32
the same true as Ben Horowitz and that
49:35
we grew up in the same companies this is
49:38
what we mean by product manager we do
49:41
not mean project manager we do not mean
49:43
feature teams most of us would never
49:46
have gone into this industry if that's
49:48
what we thought our job was going to be
49:50
so good news is I think as companies
49:54
move to this they realize you know they
49:56
have designers and they have engineers
49:58
but they really need to invest in true
50:01
product managers okay
50:05
second thing they need is another thing
50:11
that Mac messes up
50:13
okay ours in companies is that each
50:16
manager does their own set of ok ours so
50:20
like the director of engineering does a
50:23
set director design director of product
50:26
and they what do you think happens they
50:28
pass them down to their employees right
50:31
and then on a product team the product
50:34
person probably thinks we're working on
50:36
some company thing but no the designer
50:38
says no I'm supposed to work on this
50:40
because this is what my boss told me to
50:42
work on and the engineers are like no we
50:44
have to work on this so of course the
50:46
whole OKR thing collapses under its own
50:48
weight right there
50:50
and so I tell look the other thing you
50:53
need to do is if you're going to embrace
50:55
empowered product teams in okay ours to
50:58
be meaningful stop doing that
51:01
it's just product teams that get
51:03
objectives just the product teams so and
51:07
the other thing I say is until you get
51:09
good at this stop doing individual okay
51:12
ours those are just confusing the issue
51:15
and they're not important focus on the
51:19
team it's all about the product team
51:22
just be clear that doesn't product team
51:23
is not that the organization of product
51:26
managers right this is a squad a
51:28
cross-functional durable hopefully close
51:31
co-located that's another topic I need
51:36
to spend more time on yeah you know the
51:41
colocation it is I've been very vocal
51:44
about the benefits of colocation but
51:48
anybody who's followed anything knows it
51:50
is not very politically correct to say
51:52
that anymore and I genuinely believe it
51:55
it's motivated by selfish Silicon Valley
51:57
mostly venture capitalists that want to
52:00
they know they can't afford people here
52:02
so they want to keep they want to stay
52:04
here and anyway I have I think its BS
52:09
and I totally subscribe and I'm gonna
52:12
share more of Amazon's philosophy on
52:15
this Netflix's philosophy on this
52:17
because they've taken a very hard stand
52:19
for colocation so you want to do that
52:22
remote stuff fine but we're actually
52:24
here to innovate and I'm not kidding it
52:28
is a big difference I'm not saying it's
52:29
impossible what's remote people but boy
52:31
your odds go way down and you know
52:35
everything I talk about is not it's not
52:36
a guarantee of success but it's about
52:38
increasing your likelihood of true
52:40
innovation and success and that is not
52:43
helping you and I scored a lot of points
52:47
in the room with that I know alright so
52:49
I don't care it's it's true it's just
52:54
true so somebody I think needs to say it
52:57
alright and the last one is active
53:01
leaders not passive leaders
53:05
so many people think you know that
53:08
little Monty Python video that's what I
53:11
see people do with okay ours they
53:14
literally say they go to the teams and
53:16
say pick your objectives
53:18
tell us your objectives go out do your
53:21
thing we'll look at what's going on at
53:23
the end of the quarter and every team is
53:25
going off on its own direction I'm like
53:27
what are you doing that is not what okay
53:30
ours are about the objectives actually
53:34
need to come from the leaders now not
53:37
the key results those come from the
53:39
teams but the objectives come from the
53:40
leaders that's how the strategy is
53:42
turned into action if the strategy is
53:46
look we need these your three teams we
53:49
need your teams to focus on this
53:51
onboarding problem we have got to fix
53:53
that it is not scalable you guys need to
53:56
focus on the onboarding problem and
53:57
between the three teams there's enough
54:00
brainpower there we think that's gonna
54:02
we're gonna make a difference
54:03
that's where objectives come from now
54:06
those teams they use what empower
54:09
autonomy really means is they're able to
54:11
figure out the best way to solve those
54:13
problems so we're not giving them a road
54:15
map of features we're giving them
54:17
problems to solve but they are not
54:19
random problems they are not problems
54:21
left two teams to choose now don't get
54:24
me wrong one of the things we love is
54:26
when the leaders share the strategy they
54:30
literally say the strategy like we know
54:32
onboarding is a problem we know 80% of
54:34
it is manual whatever they these are the
54:37
insights we would like the teams to
54:39
think about how they could help on this
54:41
we love it when teams go hey we would
54:44
love to work on that problem because we
54:45
think we have some really good ideas to
54:48
pursue that we love it but even if
54:50
everybody came back and said they want
54:52
to work on the same problem we'd have to
54:54
go to several of them say I'm sorry we
54:56
have other problems we have to solve too
54:58
so it's a responsibility of the leaders
55:02
and so again I referring to this as
55:04
active leaders I don't want it to be
55:07
confused with command and control
55:09
leaders these are not there to
55:11
micromanage in fact I'll talk about this
55:15
next I think it's really more like
55:16
servant leadership that we're talking
55:18
about so but these are the three things
55:21
that have to be in place for a product
55:25
company to really get value out of okay
55:27
ours and if you don't have these three
55:31
things save yourself a bunch of time at
55:34
the end of the quarter all right so the
55:38
fourth part if you remember first was
55:41
focus then insights then actions and the
55:46
fourth one is management now the truth
55:50
is no strategy survives first contact
55:53
with the actual reality so there will be
55:56
a lot of learning and the question is
55:59
what do you do now in most companies
56:02
that's kind of the world right roadmaps
56:05
because this is how teams and
56:08
organizations manage their work this is
56:11
nothing new it's just it could be one of
56:15
a million roadmaps out there so there's
56:18
nothing special about that other than
56:21
it's terrible look at it it's all output
56:27
it's all output oh the first one I
56:29
grabbed but they're all the same their
56:32
output a bunch of dates its commit this
56:37
is not empowered product teams just to
56:40
be clear this is what feature teams do
56:44
all right so let's talk about strong
56:46
product companies the leaders have this
56:49
servant leadership mindset they are
56:52
really there what that really means is
56:55
okay they've given the team's servant
56:57
leader does not mean passive or anything
56:59
that means they are they've given the
57:02
team the objectives but they know that
57:04
things will come up a team comes back
57:07
and says hey we didn't realize we had a
57:08
dependency on a platform team and we
57:10
really need some help to get their help
57:12
this management is not just there to
57:14
watch they need to engage go talk to the
57:17
platform team they might find out that
57:20
oh there's a piece of technology we
57:22
didn't realize we need we need help with
57:23
that we need to get that technology in
57:25
place we need to expedite this we need
57:27
to make something happen we have a
57:29
stakeholder that's good that's that
57:31
needs
57:32
some real attention let's just say and
57:34
then there they need some help to kind
57:36
of get with the program so you need to
57:38
help there on these good companies the
57:40
manager it is a very hands-on active
57:43
role the difference is they're not
57:45
micromanaging they're removing obstacles
57:48
for the team they're letting the teams
57:50
come up with the right solution they're
57:52
just there to help facilitate all right
57:57
yes this is that same point please it's
58:00
not about less management it's about
58:02
better management all right okay so that
58:11
went fast for me didn't have a lot of
58:13
time so in terms of product strategy
58:15
summarize this critical to focus on the
58:19
key critical business problems just
58:21
realistically two three the things that
58:26
will really have a chance to move the
58:28
needle you know this isn't really that
58:30
hard most of the time I get I mean it's
58:33
it's hard politically it's not hard to
58:37
know what the right things are honestly
58:39
it's usually what's being talked about
58:41
at the board of directors lever level
58:43
they they they know what the real levers
58:47
are for the business it might be unhappy
58:49
customers it might be growth that might
58:51
be you know a very common one in SAS is
58:55
retention retention is if that number is
58:59
not good everything falls apart they
59:01
know so it's not that hard to know the
59:04
things that really matter
59:05
the problem is in you know in most
59:08
companies you've got a lot of different
59:09
stakeholders and executives and they all
59:12
have needs or at least yeah they do have
59:15
real needs I mean they perceive right
59:17
you know their perception of solutions
59:19
and stuff but they all have needs and so
59:21
it becomes more a process of trying to
59:24
do a little bit for everybody back to
59:27
the performance analysis problem all
59:30
right second generating insights on how
59:33
to attack that problem those problems
59:36
now this is where that culture comes in
59:38
where you really need a culture that is
59:40
constantly learning from your customers
59:43
constantly learning from the data
59:45
constantly looking at new enabling
59:47
technologies constantly following the
59:49
industry so that you can prepare to
59:52
identify the insights and then leverage
59:55
them there is one other point I should
59:57
make about that in every case I know
1:00:00
that the leaders really are good and
1:00:03
they are seeing these insights it
1:00:05
doesn't happen it doesn't happen on its
1:00:08
own
1:00:09
they are always preparing so they study
1:00:12
the business they study the dashboard
1:00:15
they understand the economics of the
1:00:18
company they understand the dynamics of
1:00:21
the company like in a marketplace they
1:00:23
understand what we call marketplace
1:00:24
health they're looking at all dimensions
1:00:26
of the marketplace you know at Amazon
1:00:29
it's not unusual for a typical leader to
1:00:31
be tracking several hundred kpi's every
1:00:35
day they are they we're not talking
1:00:38
about just they have a deep big-picture
1:00:41
view of the business which means when
1:00:44
something really is spotted they can see
1:00:47
how that might be a great opportunity
1:00:49
they can see those they're doing their I
1:00:52
the way I phrase it is they're doing
1:00:54
their homework so that they're prepared
1:00:56
to not miss that opportunity that comes
1:01:00
in front of us they come the
1:01:01
opportunities are always there all right
1:01:04
you need to coordinate actions for each
1:01:07
team I didn't say this explicitly some
1:01:10
people this is another one of those
1:01:11
weirdos I don't know where the route is
1:01:13
but some people get really upset if the
1:01:16
same if two different product teams are
1:01:18
working on the same objective they think
1:01:20
that's somehow like in I don't know
1:01:21
inefficient or whatever it's like oh no
1:01:23
that is really common in fact it's often
1:01:26
really really valuable now there's
1:01:29
different kinds of ways of working
1:01:30
together sometimes like you're the
1:01:32
platform team I'm the common experience
1:01:34
team and we're working you're gonna do
1:01:36
some new service for me that's kind of
1:01:37
obvious cooperation but another kind
1:01:40
might be it's a really hard problem
1:01:43
so we've each been asked to use our own
1:01:46
technologies to solve that problem and
1:01:48
the truth is and management is not
1:01:49
hiding this none of us may succeed
1:01:52
they're hoping at least one of us make
1:01:54
moves the needle that's really called a
1:01:56
risk management risk mitigation
1:01:58
technique
1:01:59
another one and this is actually one of
1:02:01
my favorites is if it's a really hard
1:02:03
problem it may totally be justified to
1:02:07
take two or even three product teams and
1:02:09
ask them to work together to solve it
1:02:13
that's sometimes called a swarm if
1:02:15
you've ever heard where they actually
1:02:17
get together they put the brains
1:02:19
together and they're you know the
1:02:20
hopefully of the combination of our
1:02:22
experience and our skills it's like yeah
1:02:25
we can see now we all sometimes swarm on
1:02:27
discovery sometimes on delivery
1:02:29
sometimes on both but that is yeah
1:02:32
that's actually can be a lot of fun you
1:02:35
have to realize a lot of the problems
1:02:37
we're asked to work on are really hard
1:02:39
problems they are not trivial problems
1:02:41
you're not being asked to add an edit
1:02:43
button I say that I literally there was
1:02:46
another article that came out on okay
1:02:48
ours the other day and his first example
1:02:51
of a supposedly good okay our objective
1:02:54
at an edit button literally that was the
1:02:57
first one I'm like what is going on
1:03:00
there is so much nonsense out there
1:03:04
totally somebody totally missed the
1:03:06
point of this stuff yeah all right and
1:03:12
then finally it takes active engaged
1:03:17
capable managers to manage this work and
1:03:21
facilitate the interactions that need to
1:03:23
happen especially this is this is more
1:03:27
and more true the larger the
1:03:29
organization management needs to connect
1:03:32
the dots the head of design hopefully
1:03:35
that's obvious they need to connect the
1:03:37
dots it needs to be one experience the
1:03:39
head of engineering needs to connect the
1:03:41
dots you need an architecture that makes
1:03:43
sense holistically a tech that strategy
1:03:46
tech that by the way is a classic
1:03:49
example of what we've been talking about
1:03:51
you can't tackle tech debt effectively
1:03:54
with every team doing a little bit it
1:03:56
doesn't work
1:03:57
that's the little refactor frequently
1:03:59
that they will never do the magnitude
1:04:02
changes that are needed to really
1:04:04
address the issues all right so those
1:04:08
are the four big things let me try to
1:04:10
put all this into perspective
1:04:13
just so that you hopefully have a frame
1:04:15
of reference here the product vision is
1:04:18
really describing the destination I
1:04:21
didn't talk much about vision I've
1:04:23
talked about that a lot I love product
1:04:25
vision it's very inspiring it helps us
1:04:27
recruit great people but that's not this
1:04:29
that's sort of a given we it's sort of
1:04:32
the input to strategy that's where we're
1:04:34
trying to go product strategy helps us
1:04:37
decide which problems we need to solve
1:04:39
to make that happen
1:04:41
that's absolutely I would argue that's
1:04:44
the most important part product
1:04:47
discovery is actually where we figure
1:04:49
out the tactics and just to be clear
1:04:52
roadmaps are tactics but that's what I
1:04:56
said it just skips strategy they're
1:04:58
going straight from double revenue to a
1:05:00
bunch of tactics there is no strategy
1:05:04
strategy leads to a bunch of problems to
1:05:08
solve each of those are solved by the
1:05:10
team in Discovery Discovery's just
1:05:12
trying to find a solution that works at
1:05:14
the end of the day they will probably
1:05:16
build out some features but they're
1:05:17
building the ones that they actually
1:05:18
have verified solve the problem for
1:05:21
those that don't know that means the
1:05:22
solution is valuable it's usable it's
1:05:25
feasible and it's viable all right and
1:05:28
finally delivery builds that solution
1:05:31
that's the one most people understand
1:05:33
but those are the full that's sort of
1:05:35
how the four main concepts in product
1:05:38
really relate okay I referenced a couple
1:05:43
but I've I've tried to you know I've
1:05:46
been a student actually a product
1:05:48
strategy my whole career I admit I like
1:05:52
discovery best because to me that's just
1:05:54
fun
1:05:55
literally solving our problems
1:05:58
prototyping test that's just fun however
1:06:02
I would say that the strategy skills are
1:06:07
more valuable at least for me
1:06:10
career-wise has been even more valuable
1:06:12
because the strategy if the strategy's
1:06:16
not good it's kind of the rest don't
1:06:19
matter doesn't matter so even though I
1:06:22
love discovery so much I would argue
1:06:24
that this the investments in strategy
1:06:27
really helped so anyway I've been a
1:06:29
student in reading books forever there I
1:06:31
found two that I think are good and
1:06:33
useful most of them fit into that
1:06:36
category of the paint-by-numbers thing
1:06:38
you know do this and you'll come up with
1:06:40
something I love the good strategy bad
1:06:43
strategy and art of action to be honest
1:06:47
this guy writes military history books
1:06:49
but it turned you know the truth is
1:06:52
military strategy is a lot of
1:06:54
similarities with product strategy and
1:06:57
he seemed to figure that out and he
1:06:59
decided to write a book on that and it's
1:07:01
a it's one of the best ones out there if
1:07:03
you haven't heard of it he doesn't
1:07:06
actually even reference ok ours but he's
1:07:09
really talking about ok ours yeah I
1:07:13
don't even know though that he knows
1:07:15
they exist to be honest and I checked
1:07:17
the date it's not like it was he wrote
1:07:20
it when ok hours were big and I was sort
1:07:23
of surprised about that bond length he's
1:07:24
describing the way ok ours are supposed
1:07:26
to be used and I literally did a got the
1:07:29
Kindle version search nothing okay so
1:07:35
there's for those that don't know the
1:07:39
second edition of the book is a hundred
1:07:41
percent rewrite from the first edition
1:07:43
so if even if you did read the first one
1:07:45
I hope you do read the second one and if
1:07:47
you like that topic discovery I
1:07:48
definitely hope you read it like said I
1:07:51
am in the middle of writing a new book
1:07:54
which is called empowered ordinary
1:07:57
people extraordinary products that's one
1:08:01
point I didn't really get across but I
1:08:03
probably should share with you I told
1:08:05
you the four companies that really
1:08:07
impact you know and motivated me on this
1:08:09
and impacted my thinking one of the
1:08:12
things that one of the things I think
1:08:14
most people when I the biggest argument
1:08:17
I get against empowering teams from CEOs
1:08:19
is they think they can't hire the
1:08:21
caliber people that Google hires and I
1:08:24
try to set them straight that that
1:08:27
Google's people are much more like their
1:08:31
people than they think and I tell them
1:08:33
one way I know that for a fact is for
1:08:36
the so many people that I have
1:08:38
introduced
1:08:40
into these companies and they tell me
1:08:42
after six months that they have done
1:08:44
more in those six months and they had
1:08:46
done in their previous several years
1:08:48
then these are the same brains same
1:08:51
bodies same people the difference is
1:08:54
they finally left landed in an
1:08:56
environment that would let them do work
1:08:58
so I am absolutely you know convinced
1:09:02
that what's special about the four
1:09:04
companies I talked about is how they let
1:09:07
their teams do their jobs not that it's
1:09:11
some sort of DNA you know filtering or
1:09:16
something going on all right okay so do
1:09:22
we have time for questions down
1:09:30
we want to capture it so it gets some
1:09:33
the video so you have to have a mic down
1:09:35
some questions raise your hand we have
1:09:36
mic runners then we'll get a mic to you
1:09:38
and just wait your turn - awesome
1:09:43
you mentioned the military command
1:09:50
intent it's command intent I use that
1:09:53
yeah not everybody well you don't have
1:09:56
to repeat the question with the
1:09:57
microphone so uh command intent I use
1:09:59
the term strategic cocked context for
1:10:02
that and it's a really important point
1:10:04
it's not in this particular talk but it
1:10:07
is a important point on the Empowered
1:10:09
team concept you know why if look
1:10:12
imagine your eyes you know they call
1:10:14
them squads in the military memory
1:10:17
imagine you're a seal squad if you were
1:10:20
if it was command and control and you
1:10:23
are trying to do something like capture
1:10:26
something and you literally had to
1:10:27
follow some recipe you're you're dead
1:10:30
literally the way they are true examples
1:10:33
of empowered team they are given an
1:10:35
objective and they're given skills and
1:10:38
by the way these squads are by design
1:10:39
cross-functional they have different
1:10:41
skill sets in their medical long
1:10:43
distance shooting demolitions all these
1:10:46
different skills and they have to be
1:10:50
able to make decisions themselves and
1:10:52
figure out the best way to do it now
1:10:54
that works if you do two things you give
1:10:57
them a mission the objective by the way
1:11:00
in the okay are you give them an
1:11:02
objective and two you've got to give
1:11:05
them the big picture they need to know
1:11:08
how their work relates to all the other
1:11:10
squads that are out there and what the
1:11:12
overall objective is that's called
1:11:14
command intent I use the term strategic
1:11:16
context the product strategy is part of
1:11:20
the strategic context as is the product
1:11:22
vision as is the business objectives and
1:11:26
also the other big one is the product
1:11:29
principles so yeah it's a really
1:11:31
important concept that applies in our
1:11:34
world - I considered using some of the
1:11:37
military terminology but it's got some
1:11:41
baggage
1:11:43
yeah sure thank you so much for this
1:11:46
presentation I had a question about her
1:11:48
of a product team and I think something
1:11:50
I really struggle with us we have we own
1:11:52
a really large product and it's really
1:11:54
hard to help people focus when you're
1:11:56
getting inundated by so many questions
1:11:58
about really large historical old
1:12:01
products I was wondering tactics or
1:12:03
advice you have for how do you filter
1:12:05
out some of that noise from the team but
1:12:07
also we have to adequately own the
1:12:09
product I mean only today so I don't
1:12:11
know just ideas on how we could better
1:12:12
manage that what you're saying though is
1:12:14
you've got a product a big product and
1:12:17
you're getting a lot of questions about
1:12:19
that product and you're the product
1:12:21
manager I'm a manager oh okay so okay
1:12:28
well of course everybody else in the
1:12:30
room is probably thinking that's normal
1:12:31
right they we all get tons of questions
1:12:34
and tons of feedback we have customer
1:12:38
service we have sales we have customers
1:12:40
we've got questions coming from finance
1:12:43
we've got a lot of that and of course if
1:12:46
if it's bugs and you know your start to
1:12:51
the point where you the team's are
1:12:54
telling you that just the cost - it's
1:12:56
often referred to as keep the lights on
1:12:58
is over is basically consuming their
1:13:02
team's you might be saying that that
1:13:04
that definitely happens in companies and
1:13:07
they're like we can't make any forward
1:13:09
progress we are just treading water
1:13:11
barely and it's not very motivating if
1:13:14
that's what's going on then you know the
1:13:16
company has so you're in a serious and
1:13:18
it may even be tech debt on to even be
1:13:20
causing that or a big big part of that
1:13:22
so this is not something that's easy to
1:13:24
change but the company is gonna have to
1:13:26
make some hard choices I would argue the
1:13:29
focus probably hasn't been happening and
1:13:31
now it's non-negotiable it has to happen
1:13:34
and boy it's high stakes to do that so I
1:13:39
don't want to be - you know there's a
1:13:42
lot of potential things that could be
1:13:43
causing these symptoms so it's without
1:13:46
sort of going into a whole
1:13:48
back-and-forth of how many engineers do
1:13:49
you have and how many designers and
1:13:51
where are all the inputs coming from and
1:13:53
stuff like that but as a principle
1:13:55
though I don't
1:13:57
to say with just one other thing which
1:13:58
is you do want the product managers that
1:14:01
work for you to be getting the feedback
1:14:02
directly we do not like filters so one
1:14:07
reaction to that would might be shut
1:14:09
things down you know so that they don't
1:14:11
have so much noise coming in but it's
1:14:13
really essential that the product
1:14:15
manager here all feedback yeah sure
1:14:21
Victor can you talk about the breath
1:14:24
strategy for at least HD is like if you
1:14:27
must three people what he wanted the
1:14:28
first time VP and how do you see
1:14:31
strategy there when the sources are law
1:14:34
and you still try to get the first
1:14:36
version okay well the first thing I
1:14:39
would say is that strategy is not like a
1:14:42
luxury for when you have big
1:14:44
organizations strategy is about making
1:14:47
much better use of the limited resources
1:14:49
you have most startups you know there is
1:14:54
this I don't know it's truth is I meet a
1:14:57
lot of startups some of them it's like
1:14:58
how did they get any funding they don't
1:15:00
like I don't know so I don't want to say
1:15:03
so some startups third grade and some of
1:15:06
them are not you know that but um but I
1:15:12
would argue a strategy is all about
1:15:15
smart use of resources in fact we can
1:15:19
take this back to that Pandora example I
1:15:22
mean I I already said I think it was
1:15:25
insane for them to try to go public in
1:15:27
that space with only 40 engineers and I
1:15:30
would have if I was on the board I would
1:15:32
have raised hell about that that's just
1:15:33
crazy and I think they ultimately paid
1:15:35
the price of that for sure but if there
1:15:39
was just 40 engineers then they
1:15:42
literally had the worst possible process
1:15:45
because you could argue that with only
1:15:47
40 if you don't have a super smart
1:15:50
strategy and you don't pick really well
1:15:52
you're toast
1:15:54
so strategy is a weight it's a force
1:15:59
multiplier right it's not a luxury
1:16:01
so suggest I can pull off you mean
1:16:03
strategy as a process not as it oughta
1:16:06
outcome butter
1:16:08
humans are something documented which
1:16:10
you really present your name oh maybe we
1:16:14
should talk privately yeah because I
1:16:17
there's a lot there we need to unpack
1:16:19
yeah but it's strategy is not a process
1:16:22
to be clear it's not a process it's
1:16:24
insights that turn into action and you
1:16:27
can document it if you want who cares
1:16:29
but what really matters is you've got to
1:16:31
make sure your team understands it but
1:16:34
let me just say if in the scenario you
1:16:36
described start up working early stages
1:16:39
trying to get to product market fit you
1:16:41
better be good at the stuff we're
1:16:42
talking about yeah hi so how do you keep
1:16:50
everyone happy and still be focused and
1:16:53
the same time no I love that question
1:16:58
how do you keep everybody happy well
1:17:00
that's the super easy to answer you
1:17:04
don't know I don't think it's possible I
1:17:07
mean you can keep them happy at least
1:17:10
until you know the stock drops through
1:17:14
the floor but no yeah this is not I
1:17:18
think this idea of keeping everyone
1:17:20
happy is fundamental
1:17:21
look that's why the CEO doesn't want to
1:17:23
focus and you know it's not just like
1:17:26
they're trying to please people it's
1:17:27
fear of missing out they're like oh all
1:17:30
these things could be important
1:17:32
so let's we let's do them all I mean it
1:17:36
sounds safer but no it's really not and
1:17:40
it's yeah we product people have to make
1:17:44
these trade-offs every single day is
1:17:47
really important now I do believe in not
1:17:50
being a jerk about it because some
1:17:53
product people are they're like because
1:17:55
I said so you know it's that kind of
1:17:57
thing no I believe in full transparency
1:18:00
being very open with the stakeholders
1:18:03
really showing them the strategy showing
1:18:05
them the insights showing them the
1:18:07
reasoning in fact I'm a huge fan of the
1:18:10
written narrative to really spelt like
1:18:13
for stakeholders to see why you decided
1:18:16
to do something is like all out here
1:18:18
take a look you know the CEOs read it
1:18:21
make sure you understand I'm not trying
1:18:24
to be arbitrary here to preach this is
1:18:26
so but the goal of keeping everybody
1:18:30
happy is not I think a realistic goal
1:18:34
how about keeping everybody employed so
1:18:43
there was yeah go ahead what would you
1:18:51
recommend somebody buy shoes what do you
1:18:53
think I should be mindful of can you say
1:18:55
I just there was just a some say that
1:18:57
middle part again I'm sorry I'll say
1:19:00
that I'm considering making it all from
1:19:01
sales to product management ok so what
1:19:04
do you recommend somebody like me these
1:19:06
shoes considering that both and what
1:19:08
should I be oh right
1:19:11
moving from sales to product I
1:19:13
definitely know some people that have
1:19:15
moved from sales to product cuz you know
1:19:17
in sales you've got that frontline
1:19:18
experience with customers the truth is
1:19:21
every single person that moves from
1:19:23
product to product has some gaps and
1:19:26
some strengths there's a tool that I
1:19:29
published as part of this coaching
1:19:31
series and I would strongly encourage
1:19:34
you to self assess just self assess I
1:19:37
mean I with your background there's some
1:19:39
things I'm pretty sure you're gonna do
1:19:41
pretty well in but there's gonna be a
1:19:42
lot of areas that the at least from just
1:19:46
your sales experience you haven't said
1:19:48
anything about education or other jobs
1:19:50
you would not have been exposed to so
1:19:52
you will probably have a pretty
1:19:54
substantial set of things to develop and
1:19:58
you can get to work on those things in
1:20:02
my experience most people they really
1:20:04
want to get the product can but they
1:20:06
have to do the work there's a and there
1:20:08
can be a lot of work it is definitely
1:20:11
not an easy job unless you go to a
1:20:14
feature team and it's pretty easy
1:20:17
hey buddy I'm a product manager at
1:20:20
springboard and I think we're in the
1:20:23
middle of this transition from being a
1:20:24
feature team to hopefully Ana's power
1:20:27
project team but building on the
1:20:29
question of how do you keepsake holders
1:20:31
happy how do you say no to them
1:20:34
when they come to you and when they've
1:20:36
been trained to come to you with feature
1:20:38
requests every quarter for planning and
1:20:40
especially when you're asked to defend
1:20:43
and compare and contrast their requests
1:20:45
against like everything you have planned
1:20:47
I understand
1:20:49
all too well I mean you're describing
1:20:51
feature teams exactly just to be clear
1:20:53
so you're not alone for sure but the
1:20:56
question you're really asking is how do
1:20:59
you transform your organization to a
1:21:02
modern tech powered product organization
1:21:04
and that is not a three-minute question
1:21:08
that is a major topic but I guess I
1:21:10
could say I'm writing a book about it
1:21:57
fear of people telling up you know this
1:22:02
is wrong or this can be proved and fear
1:22:05
of the people off to make me to change
1:22:08
things yeah yeah well I mean this is
1:22:15
you're not just talking about like the
1:22:18
like you said different swing feature
1:22:19
teams and empower teams you're talking
1:22:21
about a cultural change in a company I
1:22:24
mean the kind of company you're
1:22:26
describing you know it's not the kind of
1:22:29
place most people want to work the fear
1:22:35
is not a good thing you know that yeah
1:22:37
and I will say there's a great great the
1:22:40
people have heard me talk before now I'm
1:22:42
just a huge fan of Bill Campbell coach
1:22:45
Bill Campbell he died a couple years ago
1:22:47
but he's considered the best coach ever
1:22:50
he actually was CEO here at M to it for
1:22:54
a few years I just remembered that but
1:22:57
just an awesome guy and anyway he's I
1:23:01
have all these great quotes from him and
1:23:03
one of my favorites was there is nothing
1:23:07
more powerful than an empowered engineer
1:23:11
and I really believe that's true because
1:23:16
if you I do get to work with a lot of
1:23:18
cool product teams and inevitably the
1:23:20
real innovations come from the engineers
1:23:22
and I always encourage good engineers to
1:23:27
work at a place that can use their
1:23:29
skills so I mean if you hopefully you
1:23:32
can convince your management that they
1:23:35
should use your skills but if not you
1:23:37
should definitely there are lots of
1:23:38
companies in this valley that love to
1:23:41
use engineers and let them do like Steve
1:23:44
Jobs used to say we don't hire all these
1:23:46
people to tell them what to do we hire
1:23:48
them to show us what's possible so yeah
1:23:53
sorry
1:23:54
[Laughter]
1:24:08
[Music]
1:24:17
and then you know the company level or
1:24:20
the level you have increase revenue I
1:24:25
think that is well first of all good
1:24:41
part of what you said is their goals
1:24:43
right you didn't sort of rattle off a
1:24:46
bunch of features on a road map you
1:24:47
talked about goals that's good you
1:24:49
talked about some high level company
1:24:51
goals you talked about some team
1:24:52
specific goals the only part that was
1:24:54
missing was product strategy and so I
1:24:59
would argue your good example now there
1:25:02
might be one but you don't didn't share
1:25:04
that in there because that's the missing
1:25:06
part that was the underpants no Mew no
1:25:07
you have the big goals you have the
1:25:09
profit at the end but it's that middle
1:25:12
part so that's what I would encourage
1:25:14
you to work on is that clear
1:25:16
articulation of a strategy which will
1:25:19
then of course cause you to revise your
1:25:20
team goals and again they don't all have
1:25:23
to be the single it's normal in a larger
1:25:25
organization to be pursuing each team
1:25:27
pursuing different problems sometimes
1:25:31
the same problems but lots ly different
1:25:33
problems but they all need to be aligned
1:25:35
one of the virtues of okay ours is it's
1:25:38
a lot easier to align our organization
1:25:41
make sure we're going in the same
1:25:42
direction but that doesn't mean like
1:25:44
we're only working on what's one you
1:25:47
said onboarding were you know check out
1:25:53
well
1:25:56
that's that's kind of the presentation I
1:26:01
am but I understand where you're coming
1:26:04
from in fact one of the parts of the
1:26:06
book I'm writing on right now is a very
1:26:09
detailed case study because I want
1:26:12
people to not just think it's theory but
1:26:14
also see how it all plays out so it's
1:26:16
got the actual team topology it's got
1:26:18
their actual strategy their actual
1:26:21
objectives and so hopefully to be able
1:26:23
to answer that question but I'm also
1:26:27
writing a bunch of articles about to
1:26:29
publish more that I think will give you
1:26:30
more to work with but it's a big topic
1:26:34
there was yes over here hi
1:26:37
and so that thank you so much for
1:26:51
good
1:26:59
so what about somebody here you
1:27:08
so partly it's a similar answer to the
1:27:12
person who's coming from sales obviously
1:27:14
finance and sales are not the same but
1:27:16
you will have very different you know
1:27:19
you'll have similar a profile of things
1:27:22
that you need to work on there is one
1:27:25
other thing that I'd like to mention
1:27:26
that applies to the salesperson as well
1:27:31
don't worry so much about what company
1:27:34
you go work for because even even if you
1:27:37
go to Amazon which is I mean they are
1:27:40
really good at what we're talking about
1:27:42
they also have a demanding culture which
1:27:44
isn't for everybody so you kind of have
1:27:46
to know that but they're really good
1:27:47
about while we're talking about that
1:27:49
said I know teams there that are
1:27:51
featured teams so even in great
1:27:54
companies some teams are you know
1:27:58
usually because they haven't earned the
1:27:59
trust yet of the leaders but the point
1:28:02
is what matters more than the company
1:28:04
you go work for is the person you're
1:28:07
gonna work for literally the person
1:28:10
especially if it's your first job in
1:28:12
product you want to find somebody
1:28:15
there's really two things I tell people
1:28:17
to look for look at their look on
1:28:20
LinkedIn see where they've worked before
1:28:21
if they've worked at a good product
1:28:24
company that where they know how to do
1:28:26
this well that's number one number two
1:28:29
during the interview you want to say
1:28:32
look I'm coming here to learn from you
1:28:34
and I am willing to work very hard I
1:28:39
want to know if you're willing to coach
1:28:41
me to become great some people well most
1:28:46
people will be flattered they'll love to
1:28:48
hear that some people will say I have no
1:28:52
time I need people ready to hit the
1:28:54
ground running
1:28:55
but what really matters this for you to
1:28:57
find someone who's willing to invest in
1:29:00
you and it's to be honest it's usually a
1:29:03
year to of work of developing in this
1:29:07
situation if you're brand new to product
1:29:08
before you really at that level you
1:29:11
really want to be and can go go on so it
1:29:14
much more important
1:29:15
and the company is the manager you've
1:29:18
probably all heard that line too it's
1:29:20
it's so true but people join a company
1:29:22
but they leave their manager that's
1:29:25
really true
1:29:26
so don't get me wrong if you go work for
1:29:29
Netflix awesome but if you can't getting
1:29:32
somebody who used to work at Netflix
1:29:34
like a product director and Netflix and
1:29:36
now is willing to they're at another
1:29:38
company a smaller start-up and they're
1:29:40
looking for somebody like you that's
1:29:42
great yeah always and always like is it
1:30:12
okay to like no there's probably the
1:30:22
little story behind your question there
1:30:24
too I'm thinking but um uh to be clear
1:30:29
you know we all know those product
1:30:31
manager types that feel like they just
1:30:33
have to know everything or they have to
1:30:36
sort of appear like they know everything
1:30:37
I've never seen this work
1:30:40
I think it backfires so you know making
1:30:44
decisions is one of the most important
1:30:46
thing we do however they should you know
1:30:51
if the decision has to be proportional
1:30:53
to the consequence there's a lot of
1:30:56
minor things which frankly don't even
1:30:59
need to be decisions you probably could
1:31:00
defer to your designer defer to your
1:31:02
engineer it's just like fine on the big
1:31:05
things if you try to make like a right
1:31:08
away to sit you you're doing a
1:31:09
disservice to everybody starting with
1:31:11
you
1:31:12
so I did write about how a big topic of
1:31:16
coaching for me with coaching product
1:31:18
people is coaching them on how to make
1:31:20
good decisions I already shared some
1:31:22
parts about like being transparent but
1:31:25
you know you also have to bring along
1:31:26
the rest of the company you have to
1:31:28
bring along your stay
1:31:29
Calder's your teammates so there's a it
1:31:32
is not a minor topic the most important
1:31:36
thing though is my boss Marc Andreessen
1:31:40
used to drill this in know what you
1:31:43
can't know admit what you don't know
1:31:45
just really important don't pretend and
1:31:49
people I think respect that now of
1:31:52
course if I don't know something I see
1:31:54
it but I make a point to go find it out
1:31:56
you know so I'll go back and say okay I
1:31:58
looked into that or we ran a test or
1:32:00
whatever we did but here because the
1:32:03
they deserve an answer but they won't
1:32:06
you know they deserve a good answer it
1:32:09
should take time and all the only other
1:32:14
thing I'd say is don't make a decision
1:32:15
if you don't need to if you can just
1:32:18
defer to your colleagues that are the
1:32:20
experts in it that is much better we
1:32:22
hate those product managers that are
1:32:23
always trying to play you know boss
1:32:26
they're not really the boss of anybody
1:32:28
right the product manager was there a
1:32:30
quest yeah so I'm actually a designer
1:32:44
and now it's a super good question by
1:33:05
the way
1:33:05
everybody heard it but it's also really
1:33:08
common a lot of times product managers
1:33:11
will ask me that question about how can
1:33:12
they get their engineers to really
1:33:14
respond you know understand the pain our
1:33:17
users are really in and I actually big
1:33:21
fan I think it's the same answer for
1:33:23
both you need to bring them out to users
1:33:25
and customers face to face no messing
1:33:29
around with intermediaries face to face
1:33:31
and it is I think it's magical actually
1:33:35
it is very motivating especially for the
1:33:38
engineers and that you know it's hard
1:33:43
not to be empathetic when you really
1:33:45
know someone it's really easy
1:33:47
unfortunately especially for consumer
1:33:49
products this is a bigger problem in the
1:33:51
consumer space than the b2b
1:33:53
interestingly in consumer you know any
1:33:55
of millions of users like the millions
1:33:58
of users it's abstract it's like
1:33:59
whatever I'm never gonna make them all
1:34:01
happy so but you know you really have to
1:34:05
get that once you've got names and faces
1:34:07
and you really know them but it also
1:34:10
makes it makes all of product more
1:34:13
satisfying more meaningful one of the
1:34:17
you didn't ask this variant of the
1:34:19
question but one of the challenges is
1:34:21
you know we're not all working on
1:34:23
something like Google Maps which is like
1:34:26
everybody is like I can relate to Google
1:34:28
Maps it's awesome
1:34:29
or Google photos something like we're
1:34:30
not all working on a lot of this stuff
1:34:32
is like I'm doing payroll
1:34:37
[Music]
1:34:41
hey I picked that on purpose come on I
1:34:44
know where I am but we're doing payroll
1:34:47
it's like it's not like Twitter right
1:34:50
it's not like I'm telling grandma about
1:34:53
it that way so but I have found that
1:34:57
when you take your product manager when
1:34:59
you take your engineers to the payroll
1:35:02
departments of these customers and
1:35:05
literally sit down with them or even
1:35:09
better like we invite them to dinner
1:35:11
with you that night when you visit that
1:35:13
it's a whole different thing I mean
1:35:15
honestly I have seen this so many times
1:35:17
it's happened to me so many times
1:35:19
they actually tell you for example what
1:35:21
happens under stress on payroll runs and
1:35:24
what happens when there's a problem or
1:35:26
what happens when you know you've got
1:35:28
somebody yelling at you for getting this
1:35:30
done by a certain time or there aren't
1:35:33
funds in the bank to cover this and
1:35:35
you've got to now talk to finance and
1:35:37
it's just it's they realize that oh my
1:35:41
gosh these people have super hard jobs
1:35:43
and you know what I think we could make
1:35:46
it better for them so I found that works
1:35:50
and I want to go further
1:35:52
especially with developers developers
1:35:55
are I mean obviously I'm biased on this
1:35:58
but I they really want to help people
1:36:01
they really do and I think that one of
1:36:04
the biggest crimes in our industry is
1:36:05
when we shelter developers a lot of
1:36:08
developers the only way they feel like
1:36:10
they can help people is by helping their
1:36:11
colleagues by writing their tools so
1:36:13
they love doing tools and some people
1:36:15
think that's all the developers want to
1:36:17
do is innovate by doing tools no it's
1:36:20
just that they know their developers
1:36:22
that they work with if you introduce
1:36:24
them to these payroll clerks and
1:36:27
managers they are gonna care about them
1:36:30
too
1:36:30
I mean I guarantee it
1:36:36
yeah yeah I even sit and thank you again
1:36:40
because I started my part of my entire
1:36:42
thanks to your book as well but then a
1:36:44
wise but I did start with that as a
1:36:47
question about focus
1:36:49
there's flipside to focus right because
1:36:51
focus also means that you're putting
1:36:54
your eggs in one basket well or a small
1:36:56
number yes one of them no that's okay
1:36:59
for Google right because they have a lot
1:37:01
of Engineers they can do a lot of things
1:37:03
but for a smaller company you know
1:37:05
hundreds of other people maybe five
1:37:06
others people you can put you can have
1:37:08
maybe two three packs that's all clear
1:37:15
you're making my argument you are Google
1:37:18
it doesn't matter they have more money
1:37:20
than God from AdWords they do so they
1:37:24
can and they do spend it you know they
1:37:26
nobody could even count how many things
1:37:28
they're working on but if it's they do
1:37:31
most of them they do and that's fine
1:37:34
because they have AdWords I'd add some
1:37:39
but you're making I'm just trying to
1:37:40
point out you're making my point in a
1:37:42
smaller company you can't mess around
1:37:44
like that in a smaller company you have
1:37:46
not nearly you don't have a thousandth
1:37:48
of the resources they do so you know
1:37:50
what you better make good use of the
1:37:52
people you have that's the point of
1:37:55
strategy is you have to make sure you
1:37:58
are doing good use and what I was trying
1:38:00
to say is if you just say well we're not
1:38:03
sure we're gonna make 20 bets and we
1:38:05
have 30 engineers so we'll just do a
1:38:08
little this is the fear of missing out
1:38:10
you know we're just gonna all I'm saying
1:38:12
is that's a guaranteed you're gonna fail
1:38:14
you argue that maybe Pandora made like
1:38:18
one bit and that bet was the music zero
1:38:21
right that was dead and they said this
1:38:24
is what we're going for we have 40
1:38:25
engineers who cares I have like
1:38:27
people working on this music thing and
1:38:29
that's my partner I'm gonna go off with
1:38:32
this
1:38:32
right that could be an argument I would
1:38:35
argue they didn't I mean they they
1:38:37
really didn't make any conscious bets
1:38:40
right they abdicated that responsibility
1:38:42
by just giving it to the stakeholders
1:38:44
that's what I meant by absence of
1:38:46
product I would have argued you know and
1:38:49
I was all I wasn't there but yeah and
1:38:51
it's all hindsight but I would have
1:38:53
argued to them I hope I would have known
1:38:55
to say this that they are a tech powered
1:38:59
music company you know at the time it
1:39:02
was all about their deals with the
1:39:03
studios and there were dominated by
1:39:05
expensive costs that's why they said
1:39:07
they couldn't have more than 40
1:39:09
developers because all their money went
1:39:10
to pay for rights and I would have
1:39:13
argued look you are in a tech powered
1:39:16
business you have to have a machine for
1:39:18
continuous innovation and if you don't
1:39:20
it's only a matter of time they did have
1:39:23
a head start and they lost it yeah but I
1:39:27
would argue that even no guarantee with
1:39:29
only 40 engineers even with the best
1:39:31
strategy in the world that's not clear
1:39:33
but my it would have been a much better
1:39:35
shot than just random let's see what
1:39:39
everybody a little bit for everybody
1:39:47
Mariana actually I'm a product manager
1:39:49
on Google Maps
1:39:50
Oh we actually do so many users as
1:39:55
frequently as possible because it's just
1:39:57
so enlightening but my question is more
1:40:00
about I love your framework and the
1:40:02
point in that framework that are most
1:40:04
interested in unpacking is the
1:40:05
management part and you know the tuning
1:40:08
for certain leaders have been better
1:40:10
management not less meaning that but I
1:40:12
love to hear to mystify what management
1:40:15
means and what does product management
1:40:18
people management really
1:40:21
if you have like a framework for what
1:40:23
good management is I know there's
1:40:25
trillion-dollar coach that I love to
1:40:27
hear Marty's oh I would like to think
1:40:30
that anything I say is consistent with
1:40:32
trillion-dollar coach but this is more
1:40:34
yeah and I wouldn't frame what I have
1:40:36
you know what I argue is a framework cuz
1:40:38
I don't know if it deserves that level
1:40:41
it's more there are responsibilities of
1:40:44
managers that are absolutely critical I
1:40:46
think because we are now talking about
1:40:48
just to be clear first level managers of
1:40:50
product managers ok good this is what I
1:40:53
consider the most important role for
1:40:55
really making all this stuff happen so
1:40:57
this is the one I like to talk about so
1:40:59
number one is staffing staffing and you
1:41:05
know all of these things are on our talk
1:41:09
in their own right so I don't want to do
1:41:11
too much of a disservice but staffing is
1:41:14
huge the main thing I'd say is good
1:41:16
managers of product managers do not
1:41:18
depend on HR HR is a sourcing model but
1:41:22
good managers are using the recruiting
1:41:24
model what that means is you are going
1:41:26
to events like this and you are getting
1:41:29
to know people and you are building a
1:41:32
network of a pipeline of people that you
1:41:35
think are right for your team that's
1:41:39
really important and then man I I've
1:41:42
worked for years to get the right people
1:41:43
you know where you build trust and you
1:41:45
build and you know waiting for the right
1:41:47
point in their career and but the point
1:41:50
is you go recruit them you do not just
1:41:53
look at resumes that are coming through
1:41:54
HR second is coaching the biggest
1:41:59
responsibility I would argue you have as
1:42:02
a manager of product managers is to
1:42:05
coach and develop your product managers
1:42:07
and of course actually Google has a good
1:42:09
history with that and I hope and many of
1:42:12
the people I have sent over there have
1:42:13
told me how it's real it's like they
1:42:16
benefited but active coaching helping
1:42:20
people reach their potential and then
1:42:24
the third is this point with the team
1:42:26
objectives to really cuz you as that
1:42:29
first level manager you're really the
1:42:31
one can
1:42:32
hurting the strategy into objectives so
1:42:35
you're in the best position to see what
1:42:37
each team should really is best position
1:42:40
to do and you know you're right in the
1:42:42
middle of that negotiation between what
1:42:43
you need them to do what they think they
1:42:45
could do what is necessary to be done so
1:42:48
we're looking at that's those are the
1:42:50
three fundamental responsibilities of
1:42:52
managers it's also true that some
1:42:55
managers are leaders of the organization
1:42:58
and those people have even more
1:43:01
responsibilities now we're talking
1:43:03
product vision we're actually talking
1:43:04
this product strategy we're talking
1:43:06
product principles and a big evangelism
1:43:09
responsibility which is really back to
1:43:11
Tom was asking about with the strategic
1:43:15
and context yes and if you're interested
1:43:19
I did write an article called empowered
1:43:22
product teams that talks about the
1:43:24
responsibilities of managers and that's
1:43:26
really been a big focus of mine I want
1:43:28
us I want it I benefited from really
1:43:32
good management and I realized most
1:43:35
people have not had that so I want to
1:43:38
see a lot more people get it
1:43:44
[Applause]
1:43:49
[Music]